2 min read
Two companies, two assessments
Each company stands alone at law, with its own accounts and cash flow. A director owning both does not merge them. Each application is judged on that company's ability to repay, so both can hold facilities at once.
What the lender checks
Because you own both, a lender looks for inter-company dependencies — is one funding the other, are there cross-guarantees? Genuinely independent companies with their own income are straightforward. Disclosing the connection keeps it clean.
Applying
Apply for each on its own figures and disclose the common ownership. apply online.
Frequently asked questions
Do my two companies' loans affect each other?
Only if they are financially linked — inter-company loans or cross-guarantees. Independent companies with separate income are assessed on their own merits.
Can I use one company's loan to fund the other?
Moving funds between companies you own has tax and accounting consequences and can complicate lending. Keep each company's borrowing tied to its own purpose and cash flow.
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